CAF-6 · Chapter 13 · Question 7 of 15
If a chartered accountant in business determines that the financial information they are associated with is materially false or misleading, and the superiors refuse to correct it, what is the ultimate course of action?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Refuse to remain associated with the misleading information, which may involve resigning.
Explanation
If safeguards fail and the information remains misleading, the accountant must disassociate from it. If unable to do so while employed, resignation from the employing organization might be the only appropriate action.
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